The comparative statements of Larker Tool Company are presented below.

Larker Tool Company
Income Statement
For the Years Ended December 31

Larker Tool Company
Statements of Financial Position
December 31

All sales were on account.

Instructions
Compute the following ratios for 2014. (Weighted-average ordinary shares in 2014 were 60,000.)
(a) Earnings per share.
(b) Return on ordinary shareholders€™ equity.
(c) Return on assets.
(d) Current.
(e) Acid-test. 

(f) Accounts receivable turnover.

(g) Inventory turnover.

(h) Times interest earned.

(i) Asset turnover.

(j) Debt to total assets.

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2014 2013 R$1,818,500 1,011,500 Net sales R$1,750,500 996,000 Cost of goods sold Gross profit Selling and administrative expense 807,000 516,000 754,500 479,000 Income from operations 291,000 275,500 14,000 Interest expense 15,000 Income before income taxes 276,000 84,000 261,500 77,000 Income tax expense R$ 184,500 R$ 192,000 Net income Assets 2014 2013 Plant assets (net) R$600,300 R$520,300 Current assets R$115,500 Inventory Accounts receivable (net) R$110,950 105,750 69,000 102,800 50,000 Short-term investments Cash 60,100 345,800 64,200 332,500 Total assets R$946,100 R$852,800 Equity and Liabilities Equity Share capital-ordinary (R$5 par) Retained earnings R$300,000 R$300,000 165,400 242,600 Total equity 542,600 465,400 Bonds payable 200,000 200,000 Current liabilities Accounts payable Income taxes payable 160,000 145,400 42,000 43,500 Total current liabilities 203,500 187,400 Total liabilities 403,500 387,400 Total equity and liabilities R$946,100 R$ 852,800